* Euro rises after ECB leaves rates on hold as widely expected * Draghi says no reason to implement negative rates right now * Dollar trades near a 4-week low vs yen By Gertrude Chavez-Dreyfuss NEW YORK, June 6 (Reuters) - The euro climbed to roughly one-month highs against the dollar on Thursday after the European Central Bank said the bank ruled out cutting its overnight deposit rate below zero for now. In a press briefing after the ECB held interest rates steady at 0.50 percent, ECB President Mario Draghi said that while the bank was technically ready for negative deposit rates , or the rate it pays commercial banks to hold their money, there was no reason to act right now. "Overall, Draghi was less dovish than expected," said Omer Esiner, chief market strategist at Commonwealth Foreign Exchange in Washington. "While he did say that the ECB discussed negative deposit rates, the fact that they're not doing them right now was a big boost for the euro." The euro hit a high of $1.3166, its strongest level since May 9, and was last at $1.3137, up 0.3 percent on the day. Europe's common currency benefited from buy orders above $1.3150. Against the yen, the euro rose 0.3 percent to 130.06 . The euro's rise dragged the dollar index down 0.3 percent at 82.343, not far from a four-week low of 82.216 hit earlier in the day. The dollar was flat against the yen at 99.04 yen, having struck a four-week low of 98.83 yen earlier in the session. The U.S. currency had lost 1 percent against the yen a day earlier. Dollar-yen has been tracking the Nikkei stock average over its steep decline in the past two weeks, as foreign investors pare back the hedges they had put on for protection from the yen's slide between November and May. The dollar's broad-based decline on Wednesday intensified after a closely watched report showed hiring by U.S. firms was sluggish in May. That raised the risk that Friday's non-farm payrolls could disappoint and lessen the likelihood that the Federal Reserve will taper its easing program early.

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